Purchasing commercial land is a significant investment. Understanding zoning laws can make a big difference when it comes to the aim of ensuring that a business owner’s or developer’s plans for the property align with local regulations.
Zoning dictates how land can be used, impacting everything from the type of business that someone can operate to the construction requirements that they must follow. As such, if you’re thinking about closing on commercial land, you’ll want to consider the following in order to more successfully avoid costly legal and financial setbacks.
The basics
Zoning laws are local regulations that determine how land within specific areas can be used. Municipalities divide land into zones such as residential, commercial, industrial or mixed-use. Within each zone, additional rules may govern a host of concerns, including building height, lot coverage, parking and environmental impact. Key considerations in this regard include:
- Intended use compatibility: Before purchasing commercial land, you’ll want to confirm that your intended business operations are allowed under the property’s current zoning classification.
- Zoning variances and permits: If your intended use does not align with current zoning, you may need to apply for a zoning variance or special use permit.
- Future development plans: You’ll need to evaluate how zoning restrictions may affect future expansion or modifications to the property.
- Environmental and historical protections: Certain zones may have environmental regulations that restrict activities such as construction near wetlands or rivers. Similarly, properties in historic districts may require adherence to specific design guidelines, impacting renovation or development plans.
- Neighborhood and adjacent uses: You’ll also want to assess the surrounding area to ensure neighboring uses won’t conflict with your business.
- Rezoning potential: You’ll additionally want to investigate whether the property can be rezoned to better suit your needs. That is sometimes, although not always, possible.
Navigating zoning laws can be complex, especially for commercial land purchases. Therefore, seeking legal guidance early in your purchase process is generally wise.